Aberdeen-headquartered Wood (LON: WG) has settled a legacy lawsuit against one of its subsidiaries in a $115m payout.
In 2016, Amec Foster Wheeler, which Wood acquired the following year, was sued by Enterprise Products Limited over a contract for a chemicals plant in Texas.
Enterprise, a midstream energy services company based in the US, had initially been seeking $700m in damages over the contract, which was first issued in 2013, amid cost increases and delays to reimbursable payments.
Wood said the parties have agreed the $115m settlement, which will be paid over the next seven days.
The company acquired Amec Foster Wheeler in a £2.2bn deal in 2017, and has slowly been making its way through legacy legal disputes linked to the business.
Last year, Wood settled bribery and corruption investigations in the UK and US for £127.5m linked to wrongdoing which occurred before Amec bought Foster Wheeler in 2014.
The firm also earmarked nearly $200m to settle bribery cases linked to Amec Foster Wheeler.
Wood said it aims to be .5 to 1.5x debt debt to EBITDA at December 31, 2022, which includes the Enterprise settlement and the decision to use proceeds from the Built Environment business sale.
The company finalised the sale of the built environment business for $1.9bn in September.